It looks like the new CEOs are in for a turbulent time at the German bank. There was plenty of shareholder discontent at the meeting, as well as an emotional review of the last eventful decade.

Mr. Ackermann shed a tear at the start of proceedings, as the 7,000 strong audience gave him a standing ovation when Supervisory Board Chairman Clemens Börsig thanked him for his service.

There were a few boos too. A man with a jacket labeled “I feel like a Deutsche Bank real estate victim” shouted and tried to disrupt Mr. Ackermann’s speech.

Shareholder discontent has largely centered on the bumpy succession process that led up to this day.

Last summer, after Mr. Ackermann failed to clinch his preferred CEO candidate–former Bundesbank president Axel Weber–a scramble to find a successor ensued, and the Jain/Fitschen double-headed leadership emerged.

Then a proposal to shift Mr. Ackermann to head the supervisory board flopped, so the supervisory board changed tack and appointed Allianz’s Chief Financial Officer Paul Achleitner instead.

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After UBS new-signing Andrea Orcel was described as “the George Clooney of banking”, sparking Twitter traffic saying it’s a rather clichéd description for at least four other bankers, they’ve decided to settle the matter once and for all.

“The movement adopts peaceful means for comprehensive social change,” the statement said, adding violence in any form won’t be tolerated to achieve those ends. The statement came from an email address with the same domain as a website called Occupy Frankfurt, which says is part of a global movement to curb the power of the financial markets and banks.

Frank Stegmaier, who answered the phone number on the press release, said the website represents between 30 and 100 activists currently occupying a camp outside the European Central Bank. The website is financed by donations and has raised a low four-digit sum since its inception in mid-October, Mr. Stegmaier said.

The idea to pump up the capital of Europe’s banks, a key element of a “comprehensive” crisis recovery plan, is teetering even before euro-zone leaders can set details at their Oct. 23-24 summit.

European Union bureaucrats and government leaders have been leaning heavily on the idea of banks going to the market to pump up their balance sheets to protect them from shock waves from a Greek debt restructuring.

The European Commission proposes that banks with inadequate capital will need to raise it, from private sources if possible and from governments (taxpayers) as a last resort. Estimates of the additional capital needed range from €100 billion to €200 billion.

But the banks are digging in. They worry about not getting many takers in an unwelcoming market and the price they might have to pay. Some say they can raise the sums through asset sales rather than recapitalizing. Still others, like Germany’s Deutsche Bank, say they don’t need another cent.

It’s also Germany’s largest bank that is now leading the resistance movement. Deutsche Bank CEO and industry icon Josef Ackermann says Thursday that the recapitalization idea doesn’t address the root problem of lacking trust in Europe’s government bond markets.

He also casts doubt on Europe’s governing caste by wondering if they are up to the job…

Anshu Jain cast a name for himself in the upper ranks of finance by transforming Deutsche Bank’s once modest investment banking business into a global trading powerhouse.

But non-investment banking businesses like retail banking now account for half of annual profits, underlying efforts by current Chief Executive Josef Ackermann to diversify Deutsche Bank into a global player offering everything from M&A advisory to personal savings accounts.

Mr. Jain (L) is being appointed as co-CEO with Juergen Fitschen (R), a native German executive who is expected to manage Deutsche Bank’s corporate relationships at home in Germany and its uniquely public role as the country’s largest listed bank. That will leave Mr. Jain, an Indian-born banker based in London, to handle the bank’s still primary markets businesses. Critics fear the dual-CEO model could create tension between the bank’s leaders, a concern they say is compounded by the nomination of current CEO Josef Ackermann as supervisory board chairman.

Analysts say the newly bolstered non-investment banking businesses haven’t lived up to their full potential though.

Germany needs to show leadership and responsibility for Europe in solving the Greek debt crisis, Deutsche Bank Chief Executive Josef Ackermann said Friday.

In a panel discussion at a Russian investment conference, Mr. Ackermann also said that simply forcing Greece to impose austerity and reduce its budget deficit won’t solve the crisis, as it will only force the economy to contract further.

“We need an economic program, we need a Marshall Plan,” Ackermann said, referring to the massive program of mostly soft U.S. loans that were mobilized to rebuild Germany after World War II.

Mr. Ackermann acknowledged that it will be difficult to persuade the public of Europe to commit more funds to Greece, but said it is necessary for the preservation of the single currency.

“We should be willing to support the euro, whatever the cost,” Mr. Ackermann said, adding that he is talking to euro-zone governments on how to ensure that the eventual solution isn’t deemed a default by international ratings agencies.

“It’s always a fraught business when a foreign paper hazards into parsing U.K. politics. But one has to wonder at the unseemly spectacle of the Grey Lady giving such a distorted reading on Mervyn King, the governor of the Bank of England.”

“…the entire financial system is broken in the US. Until we take our medicine and deal with the hundreds of trillions of bad debts sitting on the banks’ balance sheets, there is ALWAYS the risk of another 2008-type event.”

As far as markets are concerned, Deutsche Bank’s push to diversify away from its bread-and-butter trading business makes it easy to shrug off disappointing preliminary results for the fourth quarter.

The German lender late Monday surprised markets with a preliminary fourth quarter profit of around €600 million, broadly missing analysts’ expectations of €804 million as costs climbed 50% to €6.3 billion. But the market was unfazed, and shares traded around 0.5% higher Tuesday morning.

For Chief Executive Josef Ackermann and his deputies, the market response is a strong show of faith in Deutsche Bank’s lofty goal of earning €10 billion in pre-tax profits from its operating business by 2011, even if that means sacrificing short-term earnings growth along the way.

The higher costs for the fourth quarter were driven largely by measures to buy and consolidate two assets last year: private wealth manager Sal Oppenheim and a majority stake in German retail banking giant Deutsche Postbank.

The diversification measures came just in time to cope with a downturn in the types of flow-businesses or trading in fixed income, currencies and commodities, or FICC, which have largely driven revenues at Deutsche Bank and other big investment houses since the crisis.

The timing is right: last month Goldman Sachs reported a 37% drop in revenues from such flow trading for the full year…

Some investors were also worried that the bank is secretly giving a warning that new global capital and liquidity requirements for banks, to be agreed this weekend and approved by the Group of 20 leading nations in November, will be much more demanding than currently assumed.

Nevertheless, although the rights issue–if it proves to be true–includes some admittance that Deutsche Bank may have a too-weak capitalization, compared with likely mid-term requirements or compared with peers, it may indeed be a smart move.

For one, Deutsche Bank could benefit from first-come, first-served investor appetite for fresh German bank shares once the capital requirements are known Sunday.

The bank’s German peer Commerzbank has already been speculated as being close to getting off the starting blocks for its own capital raising, which could even be bigger, in order to meet Basel III requirements while simultaneously trying to buy out the German government as a shareholder.

Barclays Capital analysts estimated in a research note Friday that Commerzbank could need some €10 billion in additional equity to reach a Tier 1 ratio of 5% to 6% under the still opaque new Basel III rules.
Analysts at Keefe, Bruyette & Woods also perceive that “Commerzbank will face increased competition for resources.”

Not only that. Other commercial or investment banks could also find it harder to raise capital in the wake of Deutsche Bank’s move.

Financial News released its ranking of the 100 most influential people in the European capital markets, with Deutsche Bank’s head of corporate and investment banking, Anshu Jain, topping the list. His boss, CEO Josef Ackermann, comes in at No. 6.

“Mr. Jain, Deutsche Bank’s heir apparent, has good reason to smile. Not only has his closest rival for the top job, Michael Cohrs, dropped out of the running, he controls Deutsche’s profit engine and his pay is roughly on a par with that of Mr. Ackermann.

Deutsche Bank remains the European benchmark in equity and debt capital markets, and it continues to impress rivals in mergers and acquisitions. Mr. Ackermann, who has run the bank since 2002, has maintained a steady hand on the tiller. Under his watch, the bank has yet to suffer a compensation backlash. Succession continues to be an issue: Mr. Ackermann agreed last year to stay on until 2013 but has admitted to being in “intensive talks” about what happens then. He also will have to manage the changed dynamic at the investment bank, for which Mr. Jain is taking sole responsibility.”